Types of brokers

You will want to understand the differences in brokers as well as the type of investor you are
before
choosing a specific broker. Two types of brokers include discount brokers and full service brokers.

Discount brokers will charge a lower fee than a full service broker while providing minimum trading
facility
at a
lower cost. This will generally allow for an investor trust the broker to make fast, real time
decisions.
Full
service brokers provide multiple services apart from buying and selling shared. Many are bank
subsidiaries
providing
a client with a savings account, demat account and online trading facility. Above all else, a full
service
broker
will provide well established personal advice regarding market trends.

Choosing the right stock broker

While choosing an Indian stock broker, you can think over the following points.

What kind of investor are you?

Before choosing an Indian stock broker you will need to ask yourself
this
question. If you consider yourself a day trader you will need to invest within a small time
duration
that
can be as short as a few minutes and as long as a few hours. As a day trader you will want to
seek
out a
broker who will offer a flat fee on transactions or offer lower fees. This is closely affiliated
with
discount brokers. Some well-established India based brokers who will offer you real-time,
valuable
market
research platforms for a lower fee include Zerodha and RKSV Security.

The second type of investor will buy and hold stock for longer
periods of
time.
In this case of an investor there is a strong need to obtain extremely accurate data in a short
time
period
in order to make the best investment decision possible. You will need a broker with a solid
execution
strategy and one who understands long-term market values, trends and trading patterns. India
based
full
service brokers include IDBI Palsa builder, Motilal Oswal Review, Indiabulls and Geojit BNP
Paribas.

Reputation of a stock broker

Save yourself money by researching reputations of stock brokers. You
can
browse
through SEBI and stock investment websites in order to find the right broker. Through reputation
research
you will be able to see any issues complaints that exist against a broker or browse their
personal
experience working with investors in the market. Choose a broker who is highly experienced and
has
an up
to
date knowledge of the inner workings and trends of the market.

Cost Efficiency

There are different kind of fees associated with working with a
broker.
There
are
account opening fee, transaction fee, maintenance fee etc. Look for low transaction fees if you
trade
more
often, and low maintenance fee if you hold stock for longer duration.

Platform and market research facilities

Brokerages are increasing capacity to utilize advanced technology
through
software development and market research tools. Operating an account with a broker who has
knowledge
of
these kinds of software and market research tools will provide incentives for you to make
informed
and
timely decisions in choosing stocks.

Range of facilities offered

Whether you are looking to invest in IPO or Market Funds choose an
investor
who
allows you to do so. Working together as a team is crucial in choosing a broker to make
decisions
with
your
finances.

Check out the list of top share brokers in India below and find the best stock broker in India

Major Indian Discount Brokers

Find the list of top discount brokers in India below and choose the best discount broker in
India. Most of these are online discount brokers in India and thus provide trading facilities over the
internet.